Banks, Fintechs to Begin 7.5% VAT Deduction on Electronic Transactions

The Federal Government has announced a new directive requiring banks, microfinance institutions, and fintech companies to begin charging Value-Added Tax (VAT) on selected electronic banking service fees. The policy, which takes effect from Monday, January 19, 2026, targets service charges linked to electronic transactions rather than the actual funds being transferred. Customers will therefore pay […]